GBP/USD H4 Chart Technical and Fundamental Insights

GBPUSD H4 Analysis with CBI Retail Data Impact

The GBP/USD forex pair, known as “Cable,” represents the exchange rate between the British Pound and the US Dollar, one of the most traded pairs in the forex market. Today, attention is on the Confederation of British Industry’s (CBI) latest survey on retail and wholesale sales volume. This index is a key indicator of consumer spending, as positive data (above 0) signals higher sales volume, which is generally favorable for the GBP. If the survey reveals a figure above the forecast, it could lend short-term strength to the GBP against the USD. With the Federal Reserve expected to remain cautious on rate hikes, any unexpected strength in UK consumer spending could provide GBP/USD support.

Chart Notes:
• Chart time-zone is UTC (+03:00)
• Candles’ time-frame is 4h.
On the GBP/USD H4 chart, the price has maintained a bearish trend, with alternating candlestick directions over the last ten periods, six of which were bearish. The Cable’s price is positioned below the Ichimoku cloud, indicating prevailing bearish sentiment, with the last three candlesticks also bearish. Currently, the price fluctuates between the 0.618 and 0.5 Fibonacci retracement levels, showing resistance around these points. Additionally, the Williams %R (14) indicator is in bearish territory, further confirming selling pressure. Unless the GBPUSD price can break through the Ichimoku cloud resistance, it may continue within this descending channel, testing lower Fibonacci levels for potential support.

• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore LLC”. This post has been published only for educational purposes.